Bitcoin is a new innovative means which makes it possible to exchange money in a different manner from that employed by traditional banks. It is however necessary to exercise the same amount of caution employed when dealing with traditional venues (or even more in certain cases).
Bitcoin is a global virtual currency which was created in 2009 by Satoshi Nakamoto, a pseudonym which may belong to an individual programmer or a group of software developers. It is an autonomous monetary system which does not require the use of banks for processing transactions or the use of a Central Bank for the creation of new Bitcoins since these responsibilities are handled by the community of users connected by a peer-to-peer network. Bitcoin can be used in place of conventional currency and represents a unit of account through which the value of items, assets or services can be measured. It facilitates commercial transactions and represents value which may be accumulated for future use. As emphasized by banks however, it is not legal tender and providers of goods or services are not obligated to accept it as payment.
Withdrawals and deposits
Funds can be deposited or withdrawn from online casinos using Bitcoin as currency. A transaction involving Bitcoin usually takes a few seconds to be communicated. It takes about ten minutes to be confirmed during which it can be reversed even though it is considered valid. Using it however requires a certain level of IT knowledge. Owning the currency does involve some risk due to the fact that its value tends to fluctuate unpredictably since it is a young economy with markets which are low in liquidity which the public is yet to become accustomed to. These factors have resulted in Bitcoin being widely considered to be a high risk asset which is not worth accumulating. There is also the fact that it is impossible to reverse any transactions carried out using the currency and funds can only be reimbursed by the individual to whom the payment was originally made. As a result it is advisable for users to ensure that they only carry out transactions with trustworthy individuals and organizations which possess established reputations.
- Bitcoin can be used to process transactions between individuals located anywhere in the world without the need for an intermediary.
- The fees charged for transactions are significantly lower than those charged for Visa, MasterCard and Paypal.
- Transactions involving Bitcoin are completely anonymous although they take longer to be processed.